A WAR OF PEOPLES

Dominion, Volume 11, Issue 239, 27 June 1918, Page 7

A WAR OF PEOPLES

■ ; cmni/'UTP n\i tup (iictdiim mppat MiicLlunlo In Int AUMKIAN DIMAI HON. ARTHUR MYERS'S VIEWS The Acting-Minister of Finance (the Hon. Arthur Myers),' in conversation with a reporter yesterday, gave an expression of his opinion as to tho effect of the «ent; Austrian defeat on the economic situation in Germany and Austria. If, -;. ' he said,'the present - Austrian repulse ■' ■ . should be continued, and ultimately tivrn- ,.' ( ed into a complete rout, tho time within ■ ;' which the enemies of peaoa were doomed to experience nttor'defeat might be''shortened to an extent to which' we had not 1 ceii able to look forward during tbo past few months of crisis and enduranoe. "Apart from tho military position, however," continued Mr. Myers, "a factor working with, deadly irresistibility in' tho direction df failure on the part of the Central Powers-is the , economic sitti'ation in Germany...and Austria. To ■■ form a. tolerably accurate idea of tho conditions at present existing in Ger- ' many, there is no necessity to rely upon what might bo highly-coloured reports of food riots, strikes, etc., that come through v to us from time to time. To my mind, "a more convincing proof of the inability, of Germany to sustain for verv much '.longer her present .desperate efforts is furnished by tho straightforward, unvarnished figures given by Mr. Sonar Law the last Financial Statement he delivered to the British' House of Commons.

A War-of Peoples,

"Almost every eminent statesman at . Homo and overseas has stressed again and again the fact that this is not a war of armies, but ofVpeoples," said Mr. Slyer*.' "As finance is naturally the basis of national effort, an? examination of the foundation upon which Germany's war operations'rest furnishes convincing . ovidonco that the' preponderance of (strength and stability lies with Britain and the Allies. . For instance, Britain's wot expenditure during tho past year has been ut the rate of six ana a half mil-, lions per day; and during the coming' ■ year is estimated to rise-to about seven millions per ; day. 'The German expenditure per day is six and a quarter millions; but whilst Britain's figures include v such items as separation allowances and. other matters of that kind, these'amounts are not'taken into account in the Ger r man figures. .' ■ ; ' "Against Britain's expenditure there is to be.placed the fact that in the.estimates prepared for the coming year no less than 28,3 per cent, will be 'm e t; out of taxation; whilst in thocaso of . Germany their taxation has not even covered their '.peace expenditure, nor, in I addition, their debt charge; New taxation levied by.Britain during the war Jtraouiits to somo lOii millions. German new taxation during -the same period stands at 365 millions.'.. This figure is , not sufficient to pay interest on their war debt which had accumulated! up to the ; ' end of last year. To the end of the present . financial year the total now taxation xaised by-Britain is estimated to reach the sum of J6BO millions. "Britain is making provision in advance for overy pound of her war expenditure,', ami also 'imposing taxation sufficient to meet all normal; expenditure after the war, as well as the debt charge, without further taxation 1 or additional borrowing; On the other hand, Germany has not cared to add'to the general discontent by imposing taxation-all. over the country. What Tittle additional taxation has been raised in Germany during the- war has been .drawn almost exclusively from commodities which are used and.' paid for by the masses of the people, and hardly any of the additional revenue has • .' been obtained from the wealthier classes in Germany. ; ; A Tool of Germany, i ;. _,"As regards Austria, it is not surprising to learn .that she is at last beginning to realise that the part she is playing v is simply that of a tool of Germany, nnd that, win or lose, lier. sufferings are 1 likely;to- remain unmitigated by any. ■ Prussian aid.. 'Her financial posrtion is indeed a parlous.one. Her hist Budget (end of June last year) showed, a deficit of 110 millions, and the Minister 'of I'inance was quite unable to-state from) Iwhat source litis deficit was to' be made good, in view of the heavy taxation', already existing. ' The total war expenditure to the same ;dnte .was some. 2290 millions, and the -cost of supporting diers' families exceeded the whole of'the Budget expenditure for'tho last year of [peace. The only,, hope the Minister held out.'of meeting her liabilities was in the 'direction, of confiscation of capital. This,, of course, would complete the ruin which' is . fast overtaking - this pawn in jthe schemes of Prussia.' ' "There.is no,doubt that critical and anxious months' are still ahead of us," concluded Mr. Myers. "But bearing'in : mind the indomitable spirit of our troops, iwhieh has never failed :n the past, and iwill never, do so in'the future, together iwith the healthy, robust state of British / .finance and the comparative lack of stringency in food and economic conditions in the Allied countries, one is inspired, afresh in the belief, that bycon- ; tinned ,and unremitting, effort our sacri- .„... fices and sufferings in this righteous warvrill evcntiiaTiy result, in a. peace that iivill cover maiiy.ages to come." ' •'■""■. ■■' - - . ■■'':■:'.»